H.C. BYREGOWDA, S/O LATE CHIKANNA Vs. DIRECTOR GENERAL OF INCOME TAX (INV) AND ASST. COMMISSIONER OF INCOME TAX

JUDGEMENT

(1.) PETITIONER is assailing the order of imposition of interest by the Director General of Income Tax, Bangalore on the ground that, without considering the application of the Petitioner to waive the interest as per Section 234 A, B and C of the Income Tax Act for the assessment years 2000 -01 to 2006 -07 and also imposing interest for the said years stating that advance tax has not been paid for the particular period, is bad and has also sought for quashing the same and, for issuance of a writ of certiorari to quash the order dated 16.3.2009 - annexure I passed under Section 119(2)(a) of the Income Tax Act and for a direction to the 2nd Respondent to consider the amount seized and the deposit made by the Petitioner in computing the interest charged under Section 234A, 234B and 234C of the Act.

(2.) AS per the date of events, there was a search conducted on the premises of the Petitioner on 29.3.2006. According to the Respondents, within one month from the date of search conducted, Petitioner ought to have furnished the returns, in stead, after receiving the notice under Section 153A of the Act calling for filing return of the income, alter waiting for nine long months, Petitioner made an application for copy of the seized materials as such, the case of the Petitioner cannot be considered to waive of the interest charged on the advance tax calculated, deemed to have been paid.

(3.) PETITIONER 's counsel has relied upon the decision in the case of Kakumanu Sudershan Rao v. Chief Commissioner of Income Tax and Anr. 1998 ITR 444 V. 234 where the Assessee could not file the returns due to unavoidable circumstances and filed an application to treat the returns filed by him as voluntary on the ground of non -availability of the materials which were seized at the hands of the Department and that he could not calculate the amount of advance tax on the total return of income as the documents were with the Department and accordingly, sought for quashing the proceedings and extending opportunity to the Assessee.